Rupee Drops To 73.64 Mark On Firm Dollar

At Monday's close of 73.34, the rupee has recovered 4.64 per cent from its all-time low of 76.91, recorded in April.

Rupee Drops To 73.64 Mark On Firm Dollar

At noon, the rupee was down 0.30% at 73.56 against the dollar

Rupee Vs Dollar Rate: The rupee declined as much as 0.41 per cent  - or 30 paise - to 73.64 against the US dollar on Tuesday, amid strength in the greenback overseas and a mixed trend in Asian currencies. It moved in a range of 26 paise, between 73.38 and 73.64 against the US currency, having started the four-hour session weaker at 73.62 compared to its previous close of 73.34. At noon, the rupee was down 0.30 per cent at 73.56 against the dollar. 

Domestic share markets recovered early weakness to move higher with heavyweight Reliance Industries leading the charge, as stronger Asian equities and hopes of recovery from the damage caused by the coronavirus pandemic bolstered risk appetite.

The S&P BSE Sensex index rose as much as 0.68 per cent to 38,678.83 and the broader NSE Nifty 50 benchmark climbed 0.57 per cent to 11,419.65, but selling pressure in metal and consumer goods stocks limited the upside.

The yield on 10-year government bond was at 6.03 per cent, as against 5.99 per cent the previous day.

The dollar index - which gauges the US dollar against six currencies - was up 0.36 per cent at the time, having climbed up as much as 0.52 per cent earlier on Tuesday. The Japanese yen and the Chinese yuan were nearly unchanged against the greenback.

"As the domestic situation remains fragile, investors could remain cautious thereby halting inflows... As long as the (USD-INR) pair trades below 74.50, the upside risk is limited," said Amit Pabari, managing director at forex advisory firm CR Forex.

At Monday's close of 73.34, the rupee has recovered 4.64 per cent from its all-time low of 76.91, recorded in April.